Many upstarts are trying to challenge its dominance, but Tesla (NASDAQ:TSLA) remains lightyears ahead of the competition. Up-and-coming electric vehicle (EV) makers are still projecting six-figure annual delivery numbers down the road. Meanwhile, this established EV maker could deliver around 1.4 million vehicles this year. Unfortunately, this isn’t doing much to help TSLA stock today.

Instead, its shares are performing poorly. After plunging during the May stock market selloff, the stock has since traded sideways. In total, it is down nearly 40% from its all-time high of $1,229.91. To some extent, this makes sense. The company is still dealing with the supply chain headwinds I discussed last month.

Not only that, but stock market conditions remain highly unfavorable to growth stocks. With plenty not working in its favor, is it time to skip out on it? Not so fast. Its current weakness may be a buying opportunity for growth investors.

Why TSLA Stock Is Running on Low Battery

There are several reasons why leading-EV play Tesla finds itself running on low battery right now. The supply chain crisis has impacted production at the company’s gigafactories in Berlin, Germany and Austin, Texas. As Chief Executive Officer Elon Musk put it, these facilities are currently “money furnaces,” going through cash without the output to match.

If that’s not bad enough, China’s pandemic shutdowns have affected production at its Shanghai gigafactory. In turn, this hurt its overall delivery numbers. There is also uncertainty from a possible global recession, which could hurt Tesla vehicle demand. Musk himself has voiced his recession concerns.

The other factor hurting its performance is current stock market conditions. Inflation, interest rates, and recession concerns are making it tough for stocks to bounce back. Investors are worried that these macro risks are not yet fully priced into TSLA stock.

On top of these factors, the latest headlines with Musk probably aren’t helping either. The fallout from his scrapped bid for Twitter (NYSE:TWTR) could invite more scrutiny for Musk from regulators. Worries about future scrutiny could be indirectly putting pressure on the stock.

A Comeback and a Leveling-Up Is Still in Motion

TSLA stock has traded on near-term negatives lately. That is bad news for anyone looking at this stock as a near-term trade. For long-term growth investors, though, this may work in your favor. Why? The issues affecting it today are temporary in nature.

In short, they’re hiccups. They’re not anything that will impact the company’s long-term prospects. There may be concern that demand could take a hit in an economic slowdown. So far, though, falling demand hasn’t been an issue. What has hurt Tesla’s operating performance are issues with meeting this demand.

However, while these hiccups are still top of mind, they may have peaked. Tesla has already started to ramp up production at its Austin gigafactory. A ramp-up in production for the company overall, including in China, may be underway. If high demand remains, the company could make a comeback much sooner than expected.

That’s not all. After getting over today’s challenges, the EV maker could once again “level up,” helping to fuel a move to new highs in the years ahead. As Truist (NYSE:TFC) analyst William Stein recently argued, artificial intelligence innovations may result in resumed “turbocharged” growth.

The Verdict on TSLA Stock

Currently, Tesla stock earns an “A” rating in my Portfolio Grader. Among beaten-down growth stocks, this is one that belongs at the top of your watchlist. It remains top of the heap among EV makers.

The competition may be heating up. EV upstarts are scaling up. Incumbent automakers are making a further pivot toward vehicle electrification. Even so, Tesla not only still holds a commanding share of the U.S. EV market, but last quarter, it was the top-selling luxury vehicle brand in the U.S. It may not dominate so much overseas, but it is a formidable player in China and Europe.

Supply chain challenges could have already peaked. A comeback may be around the corner. So, too, could be a return to turbocharged growth. Once stock market conditions normalize, TSLA stock will get out of its slump. Before this happens, you may want to buy it.

— Louis Navellier and the InvestorPlace Research Staff

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Source: Investor Place